Assay Group

Investor’s Dictionary

  • Alternative Investment Company (hereinafter also “ASI”)

    It is an alternative investment fund, different than that specified in Art. 3 sec. 4 item 2 of the Act on Investment Funds and Management of Alternative Investment Funds (hereinafter the “Act”), i.e. specialized open-end investment funds and closed-end investment funds other than those established and operating based on the Act. The Act defines an alternative investment fund (hereinafter also “AIF”) as a collective investment institution, the object of which, including within a separated sub-fund, which is to collect assets from many investors with the aim to invest them in the interest of these investors in line with a specific investment policy, not being at the same time a UCITS fund, i.e. a fund operating in accordance with European Union law regulating the terms of collective investment in securities, which in the Polish legal system is an open-end investment fund and a foreign fund within the meaning of the Act.
  • Anti-money laundering (AML)

    Actions leading to the elimination of money laundering

  • Beneficiary

    Natural or legal person who profits from the venture.

  • Credit Rating Agency

    Private institutions that assess the credibility of financial entities such as banks, companies, funds.

  • Debt securities

    Securities based on a convertible debts, constituting a property right and the existence of convertible debts by the owner of the security against the issuer thereof.

  • Due dilligence

    A thorough analysis of the enterprise in terms of its financial, legal and commercial condition that enables to determine the potential risk influencing the value of the acquired enterprise.

  • EBITDA (earnings before interest, taxes, depreciation and amortization)

    A profitability measure, calculated as the margin between revenues and operating costs without depreciation and amortization.

  • Economic slump

    A phenomenon in the economy that indicated an unfavorable market situation, also used to denote a crisis, inhibition of economic development or recession.

  • Investment company agent

    An institution to which the investment company may entrust intermediary activities in the scope of its business on the basis of concluded agreement.

  • Investment fund assets

    All assets of the fund, which include cash deposits from investors, rights acquired by the fund, and financial claims.

  • Investment horizon

    Period of time for which the investor is able to invest.

  • IPO (initial public offering)

    Initial public offering of the securities. It is necessary to prepare a prospectus and proceed with the supervising institution.

  • KRS – National Court Register

    Public register maintained by district courts and the Ministry of Justice. It consists of: the register of insolvent debtors, the register of associations and the register of entrepreneurs.

  • MiFID (Markets in Financial Instruments Directive)

    European Directive on financial instruments and products, which is to standardize and intensify the customer protection. Pursuant to the requirements thereof, banks and brokerage houses are required to act in the customer’s best interest and to provide reliable information about the risks associated with investments.

  • Monetary Policy Council

    Decisive authority of the National Bank of Poland. The duties of the MPC include setting assumptions and implementing monetary policy.

  • NDA (non-disclosure agreement)

    Agreement concluded between the parties, obliging them to exchange confidential information or materials with the reservation that their further dissemination is impossible.

  • Public company

    A company in which some shares have been allowed for public trading. It requires the presentation of the prospectus to the Polish Financial Supervision Authority and obtaining approval thereof.

  • Purpose of the bonds issue

    The purpose of the issue determined by the issuer, based on which the issuer cannot allocate funds for a purpose other than the one previously set.

  • Registered pledge

    Provides security for receivables on transferable rights and movables

  • Straight promissory note

    A security governed by promissory note law, which constitutes a promissory note obligation by the signatory. It includes an unconditional promise to pay a sum of money at a specific place and time.